We’d like to remind Forumites to please avoid political debate on the Forum.

This is to keep it a safe and useful space for MoneySaving discussions. Threads that are – or become – political in nature may be removed in line with the Forum’s rules. Thank you for your understanding.

📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!
The Forum now has a brand new text editor, adding a bunch of handy features to use when creating posts. Read more in our how-to guide

remortgage to pay off debts

Hi can anyone advise me what is the best thing to do, I'm currently 4 years into a 10 year fixed mortgage at 5.69% and I have about £95k on that. I also have other debts of about £25k, which is really stretching my finances to the limit.
I'm toying with remortgaging for about £125k which would pay off all my debts and looking at first direct mortagages would only cost me about £50 more on my current payments by increasing the term from 16 to 20 years on a 2 year fixed.
now would I be able to get the amount of the mortgage I need ?
our joint income is about £29k and the house is worth £190-200k,
if I could remove the £25k debt we would be ok and remortgaging looks like the only way out.
thanks
BB

Comments

  • Wh05apk
    Wh05apk Posts: 2,938 Forumite
    Part of the Furniture 1,000 Posts Combo Breaker
    If you leave your existing lender, you will be looking at a large penalty, may be best to get a further advance from your existing lender, check what rates/fees are involved before considering a remo.
    I am a mortgage adviser.
    You should note that this site doesn't check my status as a Mortgage Adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.
  • getmore4less
    getmore4less Posts: 46,882 Forumite
    Part of the Furniture 10,000 Posts Name Dropper I've helped Parliament
    You don't pay the debt of with a remortgage you just move it.

    Do you understand where your £25k of debt has come from?

    How long has it taken?

    Was it here 4 years ago when you took out this mortgage.
This discussion has been closed.
Meet your Ambassadors

🚀 Getting Started

Hi new member!

Our Getting Started Guide will help you get the most out of the Forum

Categories

  • All Categories
  • 353.9K Banking & Borrowing
  • 254.3K Reduce Debt & Boost Income
  • 455.2K Spending & Discounts
  • 246.9K Work, Benefits & Business
  • 603.5K Mortgages, Homes & Bills
  • 178.3K Life & Family
  • 261K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 16K Discuss & Feedback
  • 37.7K Read-Only Boards

Is this how you want to be seen?

We see you are using a default avatar. It takes only a few seconds to pick a picture.